I have a question about self-employed tax deductions. What self-employed vehicle expenses am I eligible to deduct?

To deduct vehicle expenses, you can use standard mileage or actual expenses. For either method, keep a log of the miles you drive for your business. Both methods allow self-employed tax deductions for tolls and parking fees.

If you use the standard mileage rate, you can only deduct the mileage at a standard rate. For 2023, the rate is $0.655. You cannot deduct self-employed vehicle expenses, including:

• Actual vehicle expenses
• Depreciation
• Lease payments
• Maintenance
• Repairs
• Gasoline
• Oil
• Insurance
• Vehicle registration fees

If you use actual vehicle expenses, you can’t deduct mileage. Instead, you can deduct:

• Depreciation
• Licenses
• Lease payments
• Registration fees
• Gas
• Oil
• Insurance
• Repairs
• Tires
• Garage rental

If you use your car for both business and personal use, you must prorate your expenses. To learn more about self-employed vehicle expenses, see Publication 463: Travel, Entertainment, Gift, and Car Expenses at www.irs.gov.